ANC in Parliament launches political assault on Tito Mboweni over wage bill
26 November 2020
The ANC in Parliament on Wednesday launched a scathing attack on Finance Minister Tito Mboweni’s floundering attempt to cut the public wage bill. During a meeting of the Portfolio Committee on Public Service and Administration, ANC members insisted that Mboweni was wrong to freeze public service wages during the current financial year. The ANC insisted on the formal inclusion of the following sentence in the Budgetary Review and Recommendation Report: “Government is urged to keep the three-year agreement on salaries which was effective from the 2018/19 financial year up to the 2020/2021 financial year.”
When the Democratic Alliance (DA) pointed out that the effect of this would be to force the state to pay additional wage increases totalling R37.8 billion in the current financial year, the ANC aggressively doubled down on their attack on the Finance Minister.
The ANC’s Mina Lesoma insisted that the final year of the three-year 2018 wage agreement – which helped dump South Africa into the biggest fiscal crisis in a generation – must be honoured at all costs. “If you have agreed on something, they must find a way. Government must not be seen to be reneging from their agreement with organized labour. All of us who are from the unions know that you [must]…respect those agreements.”
Former senior COSATU leader and current ANC chairperson of the committee, Tyotyo James, was explicit: “The [ANC in the] committee says government is obligated to honour signed agreements,” regardless of the devastating costs to the country.